Oreos Versus Orangutans: The Need for Sustainability Transformations and Nonhierarchical Polycentric Governance in the Global Palm Oil Industry

Abstract

While the myriad benefits of palm oil as a food, makeup, and cleaning product additive drive its demand, globally, the palm oil industry remains largely unsustainable and unregulated. The negative externalities of palm oil production are diverse and devastating to tropical ecosystem integrity and human livelihoods in palm oil nations. Given the current trend in increasing sustainability and transparency in global supply chains, we suggest that sustainability policy reforms are feasible and have the potential to promote 21st century U.S. and international sustainability standards. Polycentric governance may improve the attainment of sustainable global palm oil standards with a set of rules that interact across linear and nonlinear hierarchies and structures, thereby improving collaboration efforts, and increasing connectivity and learning across scales and cultures. Transformations towards sustainability in international palm oil governance has the potential to make valuable contributions to global sustainable development and improve the prosperity of poor rural communities in the tropics by providing a framework for achieving palm oil trade transparency and aligning the sustainability goals across a range of actors.